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Rupee ends substantially stronger against dollar

17 Nov 2020 Evaluate

Indian rupee ended substantially stronger on fresh selling of American currency by banks and exporters. Besides, healthy growth in the domestic equity market and dollar weakness against other currencies overseas added to the rupee gains. Sentiments were perked up with a private report that the Indian economy is seen recovering faster than expected and the Reserve Bank is likely to have come to an end of the rate easing cycle. Traders shrugged off report that India’s merchandise exports fell 5.12 percent to $24.89 billion in October 2020 as compared to same period of last year, after recording positive growth in September, on account of drop in shipments of petroleum products, gems and jewellery, leather and engineering goods. On the global front, Sterling edged higher against the dollar and steadied versus the euro on Tuesday as traders awaited news on the progress of trade talks between Britain and the European Union.

Finally, the rupee ended at 74.46, 16 paise stronger from its previous close of 74.62 on Friday. The currency touched a high and low of 74.64 and 74.38 respectively. The reference rate for the dollar stood at 74.67, and for Euro stood 88.15 on November 13, 2020. While the reference rate for the Yen stood at 71.16, the reference rate for the Great Britain Pound (GBP) stood at 98.00.

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